ApplePie Capital and Fifth Third Bank have announced an agreement which will see the bank purchase loans originated through ApplePie’s franchise loan marketplace. Fifth Third has also joined ApplePie’s SBA lender network and will see SBA loan referrals.
“We are thrilled to take our relationship with ApplePie Capital to a new level and allow more franchise owners to quickly access the capital they need to grow their business,” said Tim Spence, chief strategy officer of Fifth Third Bank. “Partnering with fintech firms like ApplePie Capital is a central and vital element of Fifth Third’s NorthStar strategy, as illustrated by this agreement.”
“We understand that access to funds is critical to starting or growing a business,” said Kala Gibson, head of business banking for Fifth Third. “Because of our partnership with ApplePie Capital, we can extend our reach and deliver the right type of funding – whether a conventional or SBA loan – to help new and established franchise owners realize their dreams in a best-in-class, digital manner.”
Fifth Third made an equity investment in Apple Pie in October, 2016.
Since January 2015 ApplePie has signed agreements with more than 60 franchise brands and facilitated more than $ 100 million in financing.
“This agreement with Fifth Third represents a significant milestone for ApplePie Capital,” said Denise Thomas, ApplePie Capital CEO and cofounder. “We have always felt that the franchise lending asset class is a perfect fit for banks, and this direct purchase agreement validates our thesis as well as endorses our proprietary credit model and our ability to efficiently source high-quality loans for bank partners.”